Egypt, Tajikistan Discuss Water Cooperation

Egyptian Water and Irrigation Minister Mohamed Abdel Aty meets with Tajikistan’s Ambassador to Cairo Zarobiddin Kosimi. (Water and Irrigation Ministry)
Egyptian Water and Irrigation Minister Mohamed Abdel Aty meets with Tajikistan’s Ambassador to Cairo Zarobiddin Kosimi. (Water and Irrigation Ministry)
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Egypt, Tajikistan Discuss Water Cooperation

Egyptian Water and Irrigation Minister Mohamed Abdel Aty meets with Tajikistan’s Ambassador to Cairo Zarobiddin Kosimi. (Water and Irrigation Ministry)
Egyptian Water and Irrigation Minister Mohamed Abdel Aty meets with Tajikistan’s Ambassador to Cairo Zarobiddin Kosimi. (Water and Irrigation Ministry)

Egypt and Tajikistan discussed on Monday ways to boost cooperation in the field of water resources and irrigation.

Egyptian Water and Irrigation Minister Mohamed Abdel Aty met with Tajikistan’s Ambassador to Cairo, Zarobiddin Kosimi and prepared a memorandum of understanding that includes all areas of proposed cooperation.

Kosimi praised the great development in Egypt's water system in recent years, said a statement released by Abdel Aty’s office.

He also discussed the arrangements made by Tajikistan to host the Dushanbe Water Conference in June 2022, which Abdel Aty will attend as a representative of Prime Minister Mostafa Madbouly.

During the meeting, Abdel Aty reviewed Egypt’s preparations to hold the fifth edition of Cairo Water Week and the UN Conference of Parties on Climate Change (COP 27) that will be held in Sharm El-Sheikh in November.

He highlighted the efforts made by his ministry to prepare for the UN mid-term review conference that will be held in New York in March 2023.

He announced that his ministry is preparing a regional report that lists the challenges of countries that suffer from water scarcity, as well as developing a number of recommendations that contribute to achieving the sustainable development goals.

Tajikistan is a member of the Water and Climate Coalition, which collaborates with a number of UN organizations to integrate between the water and climate agendas.

The Egyptian Water Ministry said in its statement that talks between Abdel Aty and Kosimi tackled the action plan of the Water and Climate Coalition, which is led by the presidents of Tajikistan and Hungary.

The minister briefed him on the measures taken by Egypt to improve its irrigation system and efforts to contain the impact of climate change, including the cleaning of canals, shift to drip irrigation and recycling of wastewater.



UN Gives Update on 19 Staff Accused by Israel of Oct. 7 Involvement

 Displaced Palestinians, who fled their homes due to Israeli strikes, wash clothes as they shelter in a UNRWA-affiliated school, amid the ongoing conflict between Israel and Hamas, in Deir Al-Balah, in the central Gaza Strip April 23, 2024. (Reuters)
Displaced Palestinians, who fled their homes due to Israeli strikes, wash clothes as they shelter in a UNRWA-affiliated school, amid the ongoing conflict between Israel and Hamas, in Deir Al-Balah, in the central Gaza Strip April 23, 2024. (Reuters)
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UN Gives Update on 19 Staff Accused by Israel of Oct. 7 Involvement

 Displaced Palestinians, who fled their homes due to Israeli strikes, wash clothes as they shelter in a UNRWA-affiliated school, amid the ongoing conflict between Israel and Hamas, in Deir Al-Balah, in the central Gaza Strip April 23, 2024. (Reuters)
Displaced Palestinians, who fled their homes due to Israeli strikes, wash clothes as they shelter in a UNRWA-affiliated school, amid the ongoing conflict between Israel and Hamas, in Deir Al-Balah, in the central Gaza Strip April 23, 2024. (Reuters)

UN investigators examining Israeli accusations that 12 staff from the UN Palestinian refugee agency UNRWA took part in the Oct. 7 Hamas attacks have closed one case due to a lack of evidence from Israel and suspended three more, UN spokesperson Stephane Dujarric said on Friday.

He said the inquiry by the Office for Internal Oversight Services (OIOS) continues into the remaining eight cases.

In the closed case, Dujarric said "no evidence was provided by Israel to support the allegations against the staff member" and that the UN is "exploring corrective administrative action to be taken in that person's case."

He said three cases were suspended "as the information provided by Israel is not sufficient for OIOS to proceed with an investigation." He said UNRWA is considering what administrative action to take.

After an initial 12 cases were raised by the Israeli government in late January, a further seven cases were brought to the attention of the United Nations in March and April, Dujarric said. One of those cases was suspended pending receipt of additional supporting evidence, he said, and the remaining six investigations continue.

UNRWA provides education, health and aid to millions of Palestinians in Gaza, the West Bank, Jordan, Lebanon and Syria.

UN Secretary-General Antonio Guterres has described the agency as "the backbone of all humanitarian response in Gaza" and pledged to act immediately on any new information from Israel related to "infiltration of Hamas" among its workers.

The accusations became public in January when UNRWA, which employs some 13,000 people in Gaza, announced that it had fired some staff and been briefed by Israel. Of the initial 12 accused by Israel, UNRWA fired 10 people and said the remaining two are dead. It was not immediately clear how they died.

OIOS immediately began its investigation into the accusations against the dozen staff, and the United Nations separately appointed former French foreign minister Catherine Colonna in February to lead a review of UNRWA's ability to ensure neutrality and respond to allegations of breaches.

Colonna's findings were released on Monday and noted that UNRWA has "a more developed approach" to neutrality than other similar UN or aid groups. "Despite this robust framework, neutrality-related issues persist," her report found.

Israel's allegations against the dozen UNRWA staff led 16 states to pause or suspend funding of $450 million to UNRWA, a blow to an agency grappling with the humanitarian crisis that has swept Gaza since Israel launched its offensive there.

UNRWA said 10 of those countries had resumed funding, but the United States, Britain, Italy, the Netherlands, Austria and Lithuania had not. A UN spokesperson said UNRWA currently had enough funding to pay for operations until June.

After the US, UNRWA's biggest donor at $300-400 million a year, paused funding, the US Congress then suspended contributions until at least March 2025.

Israel says about 1,200 people were killed and more than 250 people taken hostage in the Oct. 7 attacks. Gaza health authorities say Israel has killed 34,000 people in its offensive in the enclave since then.


48th Saudi Relief Airplane with Aid for Palestinians in Gaza Arrives in Egypt

The assistance is in keeping with Saudi Arabia's humanitarian role in supporting the brotherly Palestinian people in times of crisis. (SPA)
The assistance is in keeping with Saudi Arabia's humanitarian role in supporting the brotherly Palestinian people in times of crisis. (SPA)
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48th Saudi Relief Airplane with Aid for Palestinians in Gaza Arrives in Egypt

The assistance is in keeping with Saudi Arabia's humanitarian role in supporting the brotherly Palestinian people in times of crisis. (SPA)
The assistance is in keeping with Saudi Arabia's humanitarian role in supporting the brotherly Palestinian people in times of crisis. (SPA)

The 48th Saudi relief airplane, operated by the King Salman Humanitarian Aid and Relief Center (KSrelief) in coordination with the Ministry of Defense, arrived at Al-Arish International Airport in Egypt on Friday, carrying shelter items to be transported to the Palestinian people in Gaza Strip.

The assistance is in keeping with Saudi Arabia's humanitarian role in supporting the brotherly Palestinian people in times of crisis.


US Says It’s Reviewing New Information about Israeli Unit Accused of Abuses before War in Gaza

 Israeli soldiers patrol near the West Bank city of Tulkarm where two Palestinians were reportedly killed during clashes with Israeli forces on October 5, 2023. (Photo by Zain JAAFAR / AFP)
Israeli soldiers patrol near the West Bank city of Tulkarm where two Palestinians were reportedly killed during clashes with Israeli forces on October 5, 2023. (Photo by Zain JAAFAR / AFP)
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US Says It’s Reviewing New Information about Israeli Unit Accused of Abuses before War in Gaza

 Israeli soldiers patrol near the West Bank city of Tulkarm where two Palestinians were reportedly killed during clashes with Israeli forces on October 5, 2023. (Photo by Zain JAAFAR / AFP)
Israeli soldiers patrol near the West Bank city of Tulkarm where two Palestinians were reportedly killed during clashes with Israeli forces on October 5, 2023. (Photo by Zain JAAFAR / AFP)

The US has determined that an Israeli military unit committed gross human-rights abuses against Palestinians in the West Bank before the war in Gaza began, but it will hold off on any decision about aid to the battalion while it reviews new information provided by Israel, Secretary of State Antony Blinken said in a letter to House Speaker Mike Johnson.

The undated letter, obtained by The Associated Press on Friday, defers a decision on whether to impose a first-ever block on US aid to an Israeli military unit over its treatment of Palestinians. Israeli leaders, anticipating the US decision this week, have angrily protested any such aid restrictions.

Blinken stressed that overall US military support for Israel’s defense against Hamas and other threats would not be affected by the State Department's eventual decision on the one unit. Johnson was instrumental this week in muscling through White House-backed legislation providing $26 billion in additional funds for Israel's defense and for relief of the growing humanitarian catastrophe in Gaza.

The US declaration concerns a single Israeli unit and its actions against Palestinian civilians in the West Bank before Israel's war with Hamas in Gaza began in October. While the unit is not identified in Blinken's letter, it is believed to be the Netzah Yehuda, which has historically been based in the Israeli-occupied West Bank.

The unit and some of its members have been linked to abuses of civilians in the Palestinian territory, including the death of a 78-year-old Palestinian American man after his detention by the battalion's forces in 2022.

The Israeli army announced in 2022 that the unit was being redeployed to the Golan Heights near the Syrian and Lebanese borders. More recently, its soldiers were moved to Gaza to fight in the war against Hamas.

Blinken said the Israeli government has so far not adequately addressed the abuses by the military unit. But "the Israeli government has presented new information regarding the status of the unit and we will engage on identifying a path to effective remediation for this unit,” he wrote.

A 1997 act known as the Leahy law obligates the US to cut off military aid to a foreign army unit that it deems has committed grave violations of international law or human rights. But the law allows a waiver if the military has held the offenders responsible and acted to reform the unit.

The Leahy law has never been invoked against close ally Israel.

After State Department reviews, Blinken wrote Johnson, he had determined that two Israeli Defense Force units and several civilian authority units were involved in significant rights abuses. But he also found that one of those two Israeli military units and all the civilian units had taken proper and effective remediation measures.

The reviews come as protests and counterprotests over American military aid for Israel's war against Hamas in Gaza are roiling US college campuses as well as election-year politics at home and relations abroad.

Although the amount of money at stake is relatively small, singling out the unit would be embarrassing for Israel, whose leaders often refer to the military as “the world’s most moral army.”

The US and Israeli militaries have close ties, routinely training together and sharing intelligence. It also would amount to another stinging US rebuke of Israel’s policies in the West Bank. The Biden administration has grown increasingly vocal in its criticism of Israel’s treatment of the Palestinians and recently imposed sanctions on a number of radical settlers for violence against Palestinians.


Türkiye’s Erdogan Postpones Tentative White House Visit, Sources Say

 Turkish President Recep Tayyip Erdogan speaks during a press conference with German President following their meeting at the Presidential Complex in Ankara, on April 24, 2024. (AFP)
Turkish President Recep Tayyip Erdogan speaks during a press conference with German President following their meeting at the Presidential Complex in Ankara, on April 24, 2024. (AFP)
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Türkiye’s Erdogan Postpones Tentative White House Visit, Sources Say

 Turkish President Recep Tayyip Erdogan speaks during a press conference with German President following their meeting at the Presidential Complex in Ankara, on April 24, 2024. (AFP)
Turkish President Recep Tayyip Erdogan speaks during a press conference with German President following their meeting at the Presidential Complex in Ankara, on April 24, 2024. (AFP)

Turkish President Recep Tayyip Erdogan postponed a White House meeting with President Joe Biden, a source familiar with the situation and a Turkish official said on Friday of a visit that had been tentatively planned for May 9.

A new date will soon be set, the Turkish official said, requesting anonymity. The source familiar with the matter, speaking on condition of anonymity, said it was unclear what prompted the postponement.

A US official noted that the meeting between the NATO allies had never been officially announced.

Representatives for the White House and the US State Department had no immediate comment. Erdogan's office also had no immediate comment on the postponement, reported earlier by Bloomberg.

The meeting would have been the first bilateral visit to Washington since 2019 when Erdogan met with then President Donald Trump, a Republican. He and Biden have met a few times at international summits and spoken by phone since the Democratic US president took office in January 2021.

Ties between the US and Türkiye have been long strained by differences on a range of issues. While they have thawed since Ankara ratified Sweden's NATO membership bid earlier this year, tensions persist over Syria and Russia and the war in Gaza.

Erdogan visited neighboring Iraq this week. Last weekend, he met with Hamas leader Ismail Haniyeh in Istanbul, the first meeting between Erdogan and a Hamas delegation headed by Haniyeh since Israel began its military offensive in the Gaza Strip following Hamas' Oct. 7 attack.


Bad Blood with China? Blinken Buys Taylor Swift Album in Beijing

 US Secretary of State Antony Blinken (R) talks with Yuxuan Zhou during a visit to Li-Pi record store in Beijing on April 26, 2024. (AFP)
US Secretary of State Antony Blinken (R) talks with Yuxuan Zhou during a visit to Li-Pi record store in Beijing on April 26, 2024. (AFP)
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Bad Blood with China? Blinken Buys Taylor Swift Album in Beijing

 US Secretary of State Antony Blinken (R) talks with Yuxuan Zhou during a visit to Li-Pi record store in Beijing on April 26, 2024. (AFP)
US Secretary of State Antony Blinken (R) talks with Yuxuan Zhou during a visit to Li-Pi record store in Beijing on April 26, 2024. (AFP)

US Secretary of State Antony Blinken snapped up a Taylor Swift album along with one by classic Chinese rocker Dou Wei during an unexpected detour to a Beijing record store on Friday after talks in China meant to ease superpower tensions.

En route to the airport after a visit that included a meeting with Chinese President Xi Jinping, Blinken popped into the LiPi record store in the Chinese capital's arts district where the owner handed him an album by Dou Wei, which he bought along with Swift's 2022 record "Midnights".

One of the aims of Blinken's trip has been to emphasize the importance of what the State Department calls "people-to-people ties" as part of efforts to improve relations.

In the Beijing record store, he described mega pop star Swift, whose hits include "Bad Blood" from her fifth album in 2014, as a successful American export.

Blinken, an avid musician and guitar player, described music as "the best connector, regardless of geography", and said he loved vinyl records because of the liner notes.

Asked by the shop owner what music he was into, Blinken, who is 62, said he loved everything but added: "I’m a bit stuck in the '70s."


Gaza Baby Rescued from Dead Mother’s Womb Dies

 Uncle of Sabreen al-Rouh, a Palestinian baby girl, who died a few days after she was saved from the womb of her dying mother Sabreen al-Sheikh (al-Sakani), killed in an Israeli strike along with her husband Shukri and her daughter Malak, amid the ongoing conflict between Israel and Hamas, crouches next to her grave in Rafah in the southern Gaza Strip, April 26, 2024. (Reuters)
Uncle of Sabreen al-Rouh, a Palestinian baby girl, who died a few days after she was saved from the womb of her dying mother Sabreen al-Sheikh (al-Sakani), killed in an Israeli strike along with her husband Shukri and her daughter Malak, amid the ongoing conflict between Israel and Hamas, crouches next to her grave in Rafah in the southern Gaza Strip, April 26, 2024. (Reuters)
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Gaza Baby Rescued from Dead Mother’s Womb Dies

 Uncle of Sabreen al-Rouh, a Palestinian baby girl, who died a few days after she was saved from the womb of her dying mother Sabreen al-Sheikh (al-Sakani), killed in an Israeli strike along with her husband Shukri and her daughter Malak, amid the ongoing conflict between Israel and Hamas, crouches next to her grave in Rafah in the southern Gaza Strip, April 26, 2024. (Reuters)
Uncle of Sabreen al-Rouh, a Palestinian baby girl, who died a few days after she was saved from the womb of her dying mother Sabreen al-Sheikh (al-Sakani), killed in an Israeli strike along with her husband Shukri and her daughter Malak, amid the ongoing conflict between Israel and Hamas, crouches next to her grave in Rafah in the southern Gaza Strip, April 26, 2024. (Reuters)

A baby girl who was delivered from her dying mother's womb in a Gaza hospital following an Israeli airstrike has herself died after just a few days of life, the doctor who was caring for her said on Friday.

The baby had been named Sabreen al-Rouh. The second name means "soul" in Arabic.

Her mother, Sabreen al-Sakani (al-Sheikh), was seriously injured when the Israeli strike hit the family home in Rafah, the southernmost city in the besieged Gaza Strip, on Saturday night.

Her husband Shukri and their three-year-old daughter Malak were killed.

Sabreen al-Sakani (al-Sheikh), who was 30-weeks pregnant, was rushed to the Emirati hospital in Rafah. She died of her wounds, but doctors were able to save the baby, delivering her by Caesarean section.

However, the baby suffered respiratory problems and a weak immune system, said Doctor Mohammad Salama, head of the emergency neo-natal unit at Emirati Hospital, who had been caring for Sabreen al-Rouh.

She died on Thursday and her tiny body was buried in a sandy graveyard in Rafah.

"I and other doctors tried to save her, but she died. For me personally, it was a very difficult and painful day," he told Reuters by phone.

"She was born while her respiratory system wasn't mature, and her immune system was very weak and that is what led to her death. She joined her family as a martyr," Salama said.

More than 34,000 Palestinians, many of them women and children, have been killed in the six-month-old war in Gaza between Israel and Hamas, according to the Gaza health ministry. Israel denies deliberately targeting civilians in its campaign to eradicate Hamas.

Much of Gaza has been laid to waste by Israeli bombardments and most of the enclave's hospitals have been badly damaged, while those still operating are short of electricity, medicine sterilization equipment and other supplies.

"(Sabreen al-Rouh's) grandmother urged me and the doctors to take care of her because she would be someone that would keep the memory of her mother, father and sister alive, but it was God's will that she died," Salama said.

Her uncle, Rami al-Sheikh Jouda, sat by her grave on Friday lamenting the loss of the infant and the others in the family.

He said he had visited the hospital every day to check on Sabreen al-Rouh's health. Doctors told him she had a respiratory problem, but he did not think it was bad until he got a call from the hospital telling him the baby had died.

"Rouh is gone, my brother, his wife and daughter are gone, his brother-in-law and the house that used to bring us together are gone," he told Reuters.

"We are left with no memories of my brother, his daughter, or his wife. Everything was gone, even their pictures, their mobile phones, we couldn't find them," the uncle said.


Herds of Endangered Hippos Trapped in Mud in Drought-Hit Botswana

This aerial view shows hippos stuck in a dried up channel near the Nxaraga village in the Okavango Delta on the outskirts of Maun on April 25, 2024. (AFP)
This aerial view shows hippos stuck in a dried up channel near the Nxaraga village in the Okavango Delta on the outskirts of Maun on April 25, 2024. (AFP)
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Herds of Endangered Hippos Trapped in Mud in Drought-Hit Botswana

This aerial view shows hippos stuck in a dried up channel near the Nxaraga village in the Okavango Delta on the outskirts of Maun on April 25, 2024. (AFP)
This aerial view shows hippos stuck in a dried up channel near the Nxaraga village in the Okavango Delta on the outskirts of Maun on April 25, 2024. (AFP)

Herds of endangered hippos stuck in the mud of dried-up ponds are in danger of dying in drought-struck Botswana, conservation authorities told AFP Friday.

Southern Africa has been affected by severe drought, caused by the El Nino weather phenomenon, which has threatened harvests and plunged millions into hunger. Several countries in the region have recently declared a state of national disaster.

Near the vast wetlands of the Okavango Delta in northern Botswana, the dried-up Thamalakane River has forced herds of hippos to head for natural water reserves close to the tourist town of Maun.

"The river system dries up and animals are in a compromised situation," said Lesego Moseki, spokesperson for Department of Wildlife and National Parks (DWNP) in Botswana's capital Gaborone.

Botswana is home to one of the world's largest populations of hippos living in the wild, estimated at between 2,000 and 4,000 by the International Union for Conservation of Nature (IUCN).

"The riverine vegetation is poor and the hippo in Ngamiland (northwestern district) depends on the water flowing through the Okavango Delta systems," Moseki added. They were still looking into the how many hippos had died in the pools, he said.

Hippos have thick but sensitive skin, meaning they need to bathe regularly to avoid sunburn and usually live in humid areas.

Without water, they can become aggressive and approach villages. Local authorities are calling for hippos to be relocated to reserves to avoid conflict with humans.

El Nino is a naturally occurring climate pattern typically associated with increased heat worldwide, leading to drought in some parts of the world and heavy rains elsewhere.


Netanyahu Says ICC Decisions Will Not Affect Israel’s Actions

23 May 2023, Israel, Jerusalem: Israeli Prime Minister Benjamin Netanyahu gives a statement in the Knesset. (dpa)
23 May 2023, Israel, Jerusalem: Israeli Prime Minister Benjamin Netanyahu gives a statement in the Knesset. (dpa)
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Netanyahu Says ICC Decisions Will Not Affect Israel’s Actions

23 May 2023, Israel, Jerusalem: Israeli Prime Minister Benjamin Netanyahu gives a statement in the Knesset. (dpa)
23 May 2023, Israel, Jerusalem: Israeli Prime Minister Benjamin Netanyahu gives a statement in the Knesset. (dpa)

Israel's Prime Minister Benjamin Netanyahu said on Friday that any rulings issued by the International Criminal Court would not affect Israel's actions but would "set a dangerous precedent".

"Under my leadership, Israel will never accept any attempt by the International Criminal Court in the Hague to undermine its basic right to defend itself," Netanyahu said in a statement shared on Telegram.

"While decisions made by the court in the Hague will not affect Israel's actions, they will set a dangerous precedent that threatens soldiers and public figures."


Paris Crowns a New King of the Crusty Baguette in Its Annual Bread-Baking Prize

Baker Xavier Netry poses at his bakery named "Utopie" in Paris on April 26, 2024, after being awarded best baguette 2024 of the city of Paris (Grand Prix de la Baguette de Tradition Francaise de la Ville De Paris). (AFP)
Baker Xavier Netry poses at his bakery named "Utopie" in Paris on April 26, 2024, after being awarded best baguette 2024 of the city of Paris (Grand Prix de la Baguette de Tradition Francaise de la Ville De Paris). (AFP)
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Paris Crowns a New King of the Crusty Baguette in Its Annual Bread-Baking Prize

Baker Xavier Netry poses at his bakery named "Utopie" in Paris on April 26, 2024, after being awarded best baguette 2024 of the city of Paris (Grand Prix de la Baguette de Tradition Francaise de la Ville De Paris). (AFP)
Baker Xavier Netry poses at his bakery named "Utopie" in Paris on April 26, 2024, after being awarded best baguette 2024 of the city of Paris (Grand Prix de la Baguette de Tradition Francaise de la Ville De Paris). (AFP)

Paris has a new king of the crusty baguette.

Baker Xavier Netry was chosen this week as the 31st winner of Paris' annual “Grand Prix de la baguette” prize.

His long loaf beat 172 others.

Competing baguettes were evaluated for taste, look, texture, airiness and the quality of the baking. The jury included a deputy mayor, industry representatives, journalists and six Parisians that City Hall said were drawn at random.

The Utopie bakery in Paris' 11th district that Netry works for wins 4,000 euros ($4,290) and becomes one of the suppliers of the presidential Elysee Palace for a year.

City Hall said uneaten baguettes from the competition were donated to a charity that feeds people who are homeless.

Netry, a baker for 25 years, said the secrets of his success are a good sourdough starter and “a good long fermentation,” careful cooking and "some love and some passion, of course.”


Chipmaker Intel Falls as AI Competition Hurts Forecast

Intel logo is seen near computer motherboard in this illustration taken January 8, 2024. (Reuters)
Intel logo is seen near computer motherboard in this illustration taken January 8, 2024. (Reuters)
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Chipmaker Intel Falls as AI Competition Hurts Forecast

Intel logo is seen near computer motherboard in this illustration taken January 8, 2024. (Reuters)
Intel logo is seen near computer motherboard in this illustration taken January 8, 2024. (Reuters)

Intel shares slumped more than 12% on Friday after a downbeat forecast signaled that the boom in AI was diverting enterprise spending away from its traditional data center chips.

The stock has fallen around 30% so far this year as Intel trails rival chip companies such as Nvidia in producing advanced artificial intelligence (AI) chips and components.

Intel forecast second-quarter revenue of $12.5 billion to $13.5 billion, compared with analysts' average estimate of $13.57 billion, according to LSEG data.

"While we believe they are doing everything they can to try to repair things, it is clear the company is profoundly broken, and it will take years to see the fruits of their (currently exhaustive) labor," Bernstein analysts said in a note.

Intel is planning a $100 billion spending spree across four US states to build and expand factories. It also unveiled a new AI chip earlier this year to keep up with competition.

Friday's drop was set to erase nearly $19 billion from the company's market value, which stood at $149.4 billion as of Thursday's close.

Businesses have prioritized spending on advanced and speedy AI server chips, hurting demand for Intel's central processing units, which had long been the mainstay chip powering data centers.

Although encouraged by the launch of Intel's Gaudi 3 AI chip, "we worry the company will continue to cede wallet share within the overall data center compute market to the likes of Nvidia and Arm", Goldman Sachs analysts said.

Still, Intel is optimistic that a fresh upgrade cycle for personal computers around a new version of Microsoft's Windows operating system will help PC sales in the second half of the year. That could translate to more demand for its chips used in those devices.

The company's earnings contrasted strong results from Microsoft and Alphabet, which are Nvidia clients and also design in-house chips for their data centers.